Blockchain technology has erupted on the global scale with a massive boom. The aspect of removing the central controlling authority that this relatively nascent technology provides makes it all the more valuable. But is it revolutionary in every scenario, or there are scenarios where there is no point of removing the centralized framework?
Talking to BlockPublisher, Project Leader at Peercoin, who goes by the alias of “peerchemist” on his Discord handle, shared his views regarding this.
It’s useful where it’s useful, and it’s not useful for much. It’s useful for p2p decentralized value transfer systems like bitcoin or peercoin or for token platforms like ethereum / waves and for data notarization.
The employment of a distributed ledger technology (DLT) at its core makes blockchain revolutionary when it comes to financial frameworks. DLT makes sure that every activity that takes place on the network is publicly available to each and every participating member of the network. As a result of this, a completely transparent fabric of activity is provided to all the participating parties in the network.
So, frameworks where transparency is a high-end priority, blockchain can be deployed to ensure that no forging of records takes place. The aspect of data protection also makes blockchain attractive in the eyes of the general public. The users participating in a blockchain-based fabric of operations do not have to hand out their personal and sensitive information to a central authority in charge. As there are no central servers where all the data of the users lies, which is often seen in the modern days, the possibility of server hacking is also eliminated out. This fact can help revamp different social media platforms that are currently accused of leaking information of its users.
Adding on to his statements, he stated:
However, all of that is very niche the biggest use-case is crowd-funding (ICOs). I think that’s the biggest “driver” of it at the moment.
As we see today, various crypto projects around the crypto space are using Initial Coin Offerings (ICOs) to generate public funds for their project. As the entire framework beneath the crypto world is blockchain-based, it shows this technology’s usability in financial operations.
Moving forwards, many centrally-controlled industries where transparency and security are required, blockchain can prove to be truly revolutionary. Although it might not find its use-cases in all of the industries, it will most likely help revamp the global financial industry in the coming time.